A
SUMMER TRAINING REPORT
ON
"CONSUMER BUYING BEHAVIOUR FOR BALL PENS"
AND
COMPANY OVERVIEW
AT
"TODAYS WRITING PRODUCTS LIMITED"
DADRA SILVASSA
SUBMITTED IN PARTIAL FULLFILLMENT OF THE REQUIREMENT OF MBA
PROGRAMME
SUBMITTED BY: UNDER THE GUIDANCE OF:
SHAH.VIRAG.A INTERNAL GUIDE AT GRIMS
MBA (3RD SEMESTER) 2006 PROF: JAYSHREE TAILOR
EXTERNAL GUIDE AT COMPANY
MR. SUSHIL SHARMA
(DIRECTOR SALES & MARKETING)
POST – GRADUATE CENTRE
GIDC RAJJU SHROFF ROFEL INSTITUTE OF MANAGEMENT STUDIES, VAPI
AFFILIATED TO
VEER NARMAD SOUTH GUJARAT UNIVERSITY, SURAT
CERTIFICATE-
This is to certify that Mr. Shah Virag A has satisfactorily completed the project work entitled "Consumer Buying Behaviour Regarding Ball Pens" at Todays Writing Products Limited, under the guidance based on the declaration made by the candidate and my association as guide for carrying out this work, I recommend this project report for evaluation as a partial requirement of the MBA Programme of Veer Narmad South Gujarat University, Surat.
DATE: PROF JAYSHREE TAILOR
GRIMS, VAPI (PROJECT GUIDE)
This project report is forwarded for the evaluation Vice/Voce Examination to the Veer Narmad South Gujarat University.
DATE: (Dr R.S.SHAH)
Director GRIMS, VAPI
COMPANY CERTIFICATE
DATE:
TO WHOMESOEVER IT MAY CONCERN
This is to certify that Mr. Shah Virag A, student of GIDC Rajju Shroff Rofel Institute OF Management Studies, has undergone the training in our organization for the duration of eight weeks from to .
This training was a part of his curriculum. During the above said period, he was exposed to the working of various departments in our organization.
During his training he was found to be regular in attendance. He applied himself diligently and industriously towards the training assignment allotted to him.
We wish him bright Success for Future Endeavor
For Todays Writing Products Limited
.SUSHIL SHARMA
DIRECTOR (Sales & Marketing).
STUDENT DECLARATION
I, Mr. Shah Virag A, the student of GIDC RAJJU SHROFF ROFEL INSTITUTE OF MANAGEMENT STUDIES, VAPI, affiliated to Veer Narmad South Gujarat University,Surat Hereby declare that this project report is a resukt of culmination onf my sincere efforts
.
I declare that this submitted work done solely by me and to the best of my knowledge, no such work has been submitted by any other person for the award of post graduation Degree or Diploma.
We also declare that all the information from various secondary sources has been duly acknowledge in this Project Report.
DATE: ______
[SHAH.VIRAG.A]
ACKNOWLEDGEMENT
A Project Report is never successfully completed without the guidance from appropriate person.So, Now it I the right time to express my sincere gratitude towards all those, who have helped me to complete the project.
I would like to thank our Director Dr.R.S.Shah who has given me the opportunity. I am very much grateful to External Guide Mr.Sushil Sharma and also the Internal Guide Prof Jayshree Tailor, whose guidance and support helped me to complete this project successfully. Without their Guidance the work would never been completed.
In Particular, I would like to thanks
Mr. Rajesh Kumar Drolia (Chairman and Managing Director Todays Writing Products Ltd)
Mr. Sushil Sharma (Director Sales & Marketing)
Mr. Sanjay Mishra (Sr.Manager Finance)
Mr. Sumant Singh (GM. Production TWPL PLANT)
And I am greatly to all advisers who helped me knowingly or unknowingly for getting the information and taking interest in this report. I am also thankful to entire faculty and staff of GRIMS, Vapi without which this project would be not a successful one. Last but not the least I would like to appreciate my parents who have always motivated me directly and indirectly to do my work with utmost Dedication.
Place: VAPI Thanking You
Date: [SHAH.VIRAG.A]
EXECUTIVE SUMMARY
SYNOPSIS
Today the significance of project work has greater importance in business world. Practical knowledge is as important as theory so that one thing is said, “Practice makes a men Perfect “ In order to get acquainted with how theoretical concepts are being followed at TWPL, I have tried to take an overview of all departments of the company and its working mechanism.It has given me a chance to learn a lot in the process.
My topic for the study is on “Consumer Buying Behaviour about pens”. Pen is a product, which is used by each and every person. There are various brand’s of pen in the market of different types Price, Colour, design, Grip etc .so the pen market is full of competition where the consumer possesses vast variety of choice to select his brand which depends on his buying Behaviour .Of course it is very difficult to describe consumer buying Behaviour about pen; seven though I have tried to find how the consumer purchases a particular brand
How much he searches for his brand? What factors influence he too buy the preferred brand?
The technique of data collection is through questionnaire as it is less complex and easy Three methods (i.e) Graphical method ,percentage ,&average method are used as tools /techniques of analysis. Statistical tools used by me for analyzing the data are Chi – Square & ANOVA Analysis.
TABLE OF CONTENT
SR NO. / PARTICULARS / PAGE NOA / CHAPTER (PART I)
/ OBJECTIVES OF PROJECT REPORT / 1
/ BALL PEN INDUSTRY OVERVIEW / 2 – 4
/ HISTORY OF THE COMPANY / 5 – 7
/ MARKET PLAYERS / 8 - 9
/ LOCATION ADVANTAGE / 10
/ VISSION & MISSION OF THE COMPANY / 11
/ SWOT ANALYSIS OF THE COMPANY / 12 - 13
/ COMPANY OTHER DETAILS / 14
B / CHAPTER II (PART II)
1) / PRODUCTION DEPARTMENT. / 15
1.1 / TYPES OF PRODUCTS / 16 - 19
1.2 / RAW MATERIALS LIST ( Details) / 20
1.3 / PRODUCTION PROCESS / 21 - 23
1.4 / QUALITY AND INSPECTION PROCESS. / 24
1.5 / MAINTENANCE ACTIVITY / 25 - 27
1.6 / ABC ANALYSIS / 28
1.7 / GENERAL PLANT LAYOUT / 29
2) / FINANCE DEPARTMENT / 30
2.1 / FINANCE RELATED DETAILS. / 31 - 33
2.2 / COMPANY'S FINANCIAL GROWTH. / 34 - 39
2.3 / RATIO ANLAYSIS / 40 - 43
3) / HUMAN RESOURCE DEPARTMENT / 44
3.1 / INTRODUCTION / 45
3.2 / HUMAN RESOURCE ACTIVITIES / 46 - 51
3.3 / ORGANIZATION CHARTS / 52 - 55
4) / MARKETING DEPARTMENT / 56
4.1 / INTRODUCTION / 57
4.2 / CORE COMPETENCY OF COMPANY. / 58
4.3 / MARKETING MIX & OTHER MARKETING ACTIVITIES / 59 - 69
5) / CONSUMER BUYING BEHAVIOUR REGARDING PENS / 70
5.1 / RESEARCH METHODOLOGY & OBJECTIVES / 71 -72
5.2 / ANALYSIS OF COLLECTED DATA / 73 - 93
5.3 / CONCLUSION OF SURVEY / 94 - 95
5.3 / RECCOMENDATION / 96 – 97
5.4 / QUESTIONAIRE / 99 - 101
6.2 / BIBLIOGRAPHY / 102.
OBJECTIVES OF THE REPOERT
Þ To understand the Business Mechanism and to run it profitably in Competitive Business Environment.
Þ To Understand the role of each subsystem (Dept) and its relationship with other Subsystems for the Business as a System
Þ To get the Practical Interface of Industry by applying Theoretical Concepts.
Þ To know about consumer buying Behaviour regarding pens.
INDUSTRY OVERVIEW
There has been a need to document through the use of writing instruments since the dawn of makind.Pens and Pencils continue to be the staples of everyday life and indispensable items for everyday use.Wriritng Instruments continue to play integral part in the life of particularly every Business, School, and household. The advent of computers and related technologies has yet to make writing industry and Instruments Slow Paced and Obsolete. In fact, the writing Instruments embraces the evolution of technology by incorporating it into new products and using it to enhance business aspects and client services.
The size of the writing Instruments Industry in India is estimated at about Rs 1800 Crores of which organized players account for 70% of the market share and the unorganized players for the rest. The industry Grew by about 15% in 2004-05 and by 13.5% in 2005-06,largely driven by the growth of organized sector, indicating that consumer are responding favourably to Quality and Branding. It is expected that promotion, easy availability, and affordability, branded off make will accelerate and help the organized sector eat into unorganized Presence.
India's Writing Instruments Industry is reserved for the small sector with a statutory limit on the maximum Investment in Plant and Machinery at Rs 50 Crores.As a result critical pen component like refills are manufactured in house, while all non critical components are outsourced.
Most Indian companies cater to the "Value for Money"(i.e. High Volume Low Value Strategy) While International Players cater to Premiums segment operating through exclusive Distributors. Globally writing Instruments Industry is estimated at Rs 50000 Crores (p.a). China controls approximately 10% of the global markets while the Indian share had so far been Mini scale. But given the superior quality perception that "Made In India" pens have over the Chinese, the buying preference of major retailers has been shifting to Indian Products and Brands.
The following Information regarding the Writing Instruments Industry Has been obtained from the Public Sources like: Business Line, Economic Times, Financial Express, some Companies Catalog are Used along with Internet Support.
Þ CHANGING CONSUMER BEHAVIOUR
The Purchase of a single Pen used to be a considered decision until not too long ago. Today, most consumers buy multiple pens in a single Purchase. Because the consumer would go out specifically to buy a pen earlier, today most buy along with a number of other things as apart of their monthly provisions. Earlier there was one pen to write, now interestingly even as communication is getting increasing psychological, there is different pen, Ink, Size for different Moods, Needs and Situations.
Gone are the days where pen were just considered as merely an item of writing, But now it a Quasi Fashion Statement Something that’s aligns with Your Personality, Of course Still the Pen purchase Decision is considered As Low Involvement Decision.
Þ GLOBAL WRITING INSTRUMENT INDUSTRY
Globally, Writing Instrument Industry is rising at a Healthy rate despite growing computerization. The global Writing Instrument Industry is estimated at Rs 50000 Crores.(p.a) where USA Markets grew by 5% last year (2005-06) and is expected to grow by the same Proportionate at this time too. China controls approximately 10% of the global market, due to it manufacturing Process. India is becoming most preferred manufacturing destination after china. Indian Products Quality is among best in the world, Compared to china Mass Market Products. Indian Market is Growing healthily at 15 to 20% and is Expected to Grow with same Rate for upcoming 2 to 3 years (acc to CAGR)., where the organized sector now controls 70%+ market share as compared to 54% up to 2000.
Þ MARKET AND MARKET INFORMATION (IN DETAIL).
· The worldwide Market's Size for Writing Industry is Rs 50000 crs (p.a) USA market alone is $2.2 Billion Dollars (App 10000 Crores Rs).
· Chinas exports of Pens are over Rs 5000 Crores (p.a).
· India's Pens Exports are merely Rs 200 Crores (p.a).
· The Annual Turnover of the Industry in India is now estimated at Rs 1800 Crores (p.a) and is expected to Increase annual growth rate by 15-20% (p.a).
· India is Viewed as Quality Supplier, where as China as Cheaper and Lower quality Products.
· Germany, Japan, Taiwan & Korea were hubs for the Writing Instrument Industry, But due to cast factor manufactured have started shifting to China and India.
· Previously Switzerland was the manufacturing centre for Ball point Tips, but now India is emerging as a major Tip Manufacturer satisfying not only Domestic demand but Global Demand Also.
Þ REGULATORY REQUIREMNTS
In India as per current law, the manufacturing of writing instruments is reserved or falls under the category of SSI (Small Scale Industry Sector). Thus there is ceiling on Investment in Plant and Machinery Manufacturing Process (Max Rs 50 Crores), excluding Mould Making as it is Highly Capital Intensive part of Manufacturing. Of course any EOU (Export Oriented Unit) does not fall under this Purview of SSI.
HISTORY OF THE COMPANY
(Complete Company Overview)
Þ ABOUT TODAYS COMPANY
Todays Writing Products Limited (TWPL), Incorporated in April 29,1992 as Creative Stationo Products Ltd By promoter Rajesh.K.Drolia, a first Generation Entrepreneur is one of the leading manufactures of pen in India. Company has now changed it names from Creative Staiono to Todays writing Products Limited since October 1995.The company came up with it maided public Issue at par in April 1996, which was oversubscribe two and half times.TWPL has been awarded with " Certificate For Excellence' by the "Writing Instrument Manufacturer's Organization Of India for the Year 2001-02, & 2002-03.
TWPL (R & D) ahs mastered the art of making the dies and design of the pen, which gives it a significant advantage over its competitors, both in Organized and Unorganized sector. The company on an average launches 15 New Products every Year.
Company has 2 excellent manufacturing facilities in Daman, where we manufacture 9.5 lakhs Pen per day in house and outsource 5.5 lakhs pen per day. Through exclusive manufacturing facilities with our contracting group of companies
Þ M/S Premium Writing Products Limited
Þ M/s Millennium writing Products Limited.
TWPL has a strong, scalable, multi-layered Distribution channel overseen by sales force covering entire country. With a network that reaches out over 4, 40,000 Retail Outlets Directly through 1440 Distributors and 57 super distributors.
Þ BRAND IMAGE
The brand name Today's has achieved a high level of visibility all over theIndian Market. Having invested Rs 2000 Lakhs in advertising and approx Rs 2500 in Marketing over a 4 year Period, Today's has become association with latest technology and Innovativeness. The company Path breaking campaign was the Zee Khusboowala (Perfumed Pen) Launched in 1995-96. Over the years, the Brand has consistently launched new ideas in writing Instruments.
Þ ACHEIVEMENT OF THE COMPANY(MILESTONES)
The Achievements of the Company are as Under: ( From 1992 to 2005)
Þ (YEAR 1992)